Dreaming of building your perfect home? Before you break ground, you need to understand how banks approach new builds differently from established properties. This eye-opening episode reveals the hidden financial complexities that can make or break your construction journey.We explore the three main building pathways - turnkey packages, progressive payments, and labour-only builds - each with dramatically different financial implications. Did you know banks can offer 12-month pre-approvals for turnkey builds? Sounds great until you learn about the valuation risks that could leave you scrambling for extra funds at completion if the market shifts downward.The financial juggling act of building becomes clear as we explain how banks assess not just your ability to repay, but also factor in potential cost overruns. For progressive payment builds, you'll face the double burden of rent plus mortgage repayments during construction. And if you're considering managing your own build, prepare for much stricter lending criteria - typically just 70% LVR compared to the 90-95% available for other construction types.Perhaps most surprising is our revelation about developer "gifts" - those tempting furniture vouchers or upgrade packages can actually reduce your property's valuation in the bank's eyes, potentially creating financing headaches. However, there's good news too - new builds are exempt from the Reserve Bank's loan-to-value restrictions, potentially allowing more flexible deposit requirements.Whether you're weighing up building options or already committed to construction, this episode provides crucial information that could save you thousands and prevent major financial stress. Don't start your building journey without listening first!Send us a text Support the showBuy your first home in NZ Weekly Webinars You thought it's not possible or the dream is too far away? Come to my webinar and I will show you, you are much closer to your dream, than you think you are! Join Here - https://bit.ly/4m9SL72

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